Pressing labor problems in South Africa, which in 1986 produced half of the gold in the non- communist world, may soon have a profound effect on the price of the precious metal.
The National Union of Mineworkers, which represents a little more than half of the 470,000 black miners in the country’s gold- and coal-mining industries, said a ballot of about 200,000 miners indicated 96% were in favor of a nationwide strike. The strike call came after a heavy majority of factory workers in metal and allied industries voted in support of a walkout.
Twenty-seven gold mines and 18 collieries could be hit by work stoppages, with the possibility of the strike spreading to other mines. The miners’ union, engaged in contract negotiations, is seeking an across-the-board wage hike of 30%.
Better than half of South Africa’s export earnings comes from the output of gold and coal mines.
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